Section 1 Short title
This Act may be cited as the “Protecting Americans from Social Security Clawbacks Act”.
Protecting Americans from Social Security Clawbacks Act
A BILL
To amend the Social Security Act to place limitations on recovery of overpayments under titles II and XVI.
Sec. 2 Limitation on recovery of overpayments
Title II amendment—
by striking “With respect” and inserting “(i) With respect”; and
by adding at the end the following:
“(ii) In any case in which the Commissioner finds that more than the correct amount of payment has been made to a person, recovery from the person may not be made if—
“(I) the overpayment occurred more than 3 years before the date of the finding; and
“(II) the overpayment was a result of error on the part of the Commissioner.
“(iii) Clause (ii) shall not apply to a person if the Commissioner determines that the person has ever committed fraud or similar fault with respect to the program under this title.”
Conforming amendment— Section 204(a)(2) of such Act (42 U.S.C. 404(a)(2)) is amended by striking “Notwithstanding” and inserting “Subject to clauses (ii) and (iii) of paragraph (1)(A), but notwithstanding”.
Title XVI amendments—
In general— Section 1631(b)(1) of such Act (42 U.S.C. 1383(b)(1)) is amended by adding at the end the following:
“(C)
“(i) In any case in which the Commissioner finds that more than the correct amount of payment has been made to a person, recovery from the person may not be made if—
“(I) the overpayment occurred more than 3 years before the date of the finding; and
“(II) the overpayment was a result of error on the part of the Commissioner.
“(ii) Clause (i) shall not apply to a person if the Commissioner determines that the person has ever committed fraud or similar fault with respect to the program under this title.”
Conforming amendment— Section 1631(b)(2) of such Act (42 U.S.C. 1383(b)(2)) is amended by striking “Notwithstanding” and inserting “Subject to paragraph (1)(C), but notwithstanding”.